John & Pamela Stark were our guest speakers. John is a local realtor and member of the Des Moines Rotary. Together, John and Pamela walked us through the journey of downsizing.
They noted that you have to have a “why” for downsizing. For example:
- By downsizing, what emotional, physical, and financial benefits will you gain?
- Downsizing often results in less time spent on home maintenance and more time to do the things you enjoy.
- Downsizing often results in lower monthly expenses, again more money to spend on thing you want to buy instead of things you need to buy.
- Less stuff = less stress.
- Write down your goals and reasons for downsizing, “A goal not written down is only a dream.”
They noted that it must be a mutual decision between you and your partner.
They recommend a storage unit with a monthly lease. Its cheaper to have a longer-term lease, but the monthly lease is a monthly reminder of things you have decided to keep. Each time you write the lease payment ask yourself, why am I spending money to save this stuff.
They also referenced an AARP survey. Specifically, what we think our kids want does not necessarily align with what they may actually want. Per the survey, they want tangible assets: jewelry, cars, real estate, cash, etc. They may want old photos, but only of themselves. Rather than pass the items on to your family or trying to sell them on e-bay or via garage sale they recommended donating the items to a local church, social organization or charity. They’re glad to receive the items and you don’t have to spend the time on pricing and selling your items.
For additional information, https://www.aarp.org/retirement/planning-for-retirement/info-2019/coping-with-downsizing.html